Showing posts with label uniquely Cuban. Show all posts
Showing posts with label uniquely Cuban. Show all posts

Tuesday, February 10, 2015

The possibility of a uniquely Cuban Internet

This post is not about what I think will happen, but to begin discussion of what the Cuban government could do if the goal were to provide a modern, open Internet with affordable (free in some cases?) access.

The Cuban Internet is in a sorry state. Freedom House ranks Cuban Internet freedom 62nd among the 65 nations they survey and the UN International Telecommunications Union ranks Cuban information and communication technology development last among 32 nations in Latin America and the Caribbean.

Historically, there are three primary causes for the sad state of the Cuban Internet -- the US trade embargo, Cuban poverty at the time of their connection to the Internet and the government's fear of information. (We'll discuss a possible new constraint, ETECSA, later).

President Obama has lifted the first barrier and, when we look at other poor Latin America and Caribbean nations, we see that Cuba could afford a better Internet than it currently has.

That leaves fear of an open Internet. The government says the Internet is a priority and they want to expand access as quickly as financially feasible. I am skeptical, but let’s assume they are sincere – what might they do in the short term and the long term?

In the short term

Cuba cannot afford ubiquitous, modern Internet infrastructure today – they need low-cost interim action while planning for the long term. Here are some low-cost ways they could improve the Internet in the short run:


What about the long term?

Long range planning, addressing technology and, more important, infrastructure ownership and regulation policy, should begin immediately.

Cuba has little Internet infrastructure. There is an undersea cable to Venezuela, but little fiber on the island. (Eventually, Cuba might take control of the cable being installed between Guantánamo and Florida). Nearly all home connections are dial-up and the cell network is obsolete 2G technology. There are 573 public access computers in 155 locations, but they are slow and an hour online costs nearly a week’s pay for many workers.

Cuba should leapfrog today’s technology, looking toward developments that are five or more years out – 5G  mobile communication, high frequency wireless by Google and others, the satellite constellation projects from SpaceX and OneWeb, connectivity using an undersea cable from Havana and perhaps the one at Guantánamo, etc. Routing traffic using version 6 of the Internet protocol will prepare them for the “Internet of things.”

The long range planning of technology is necessary, but formulating policies for ownership of infrastructure and regulation is more important -- not only for Cubans, but for the rest of the world as well if the Cuban experience leads to innovative policies.

The conventional wisdom is that Cuba should invite foreign companies to install infrastructure – a path many developing nations have followed with marginal success. It is not certain that Cuba, with its current government and weak economy, could attract foreign investment, but even if could, I would hate to see Cuba's Internet future in the hands of companies like AT&T or Orange.

If they do go with foreign investment, I would not be surprised to see them partnering with Google rather than a traditional ISP – Google executives have visited Cuba and Google is clearly interested in global connectivity. My experience in the US leads me to trust Google to do a better job than the incumbent ISPs, but, I would still have to ask -- in the long run, why should we expect Google to be better for the Cuban people than a traditional ISP? (I'd ask the same question of aspiring global satellite ISPs SpaceX and OneWeb).

Cuba should go slowly and consider a broad range of infrastructure ownership policies like municipal ownership in Stockholm, government as a venture capitalist in Singapore, government as rural wholesale backbone provider as in India, individual ownership of final links, etc. Cuban policy makers should consider a broad range of policy models -- Chile, Iceland, Vietnam, Estonia, etc. etc.

In 1997, fear of free speech led the government to squelch the Internet, but today there is another potential stumbling block – ETECSA, Cuba’s monopoly Internet service provider. ETECSA is usually described as a state-owned monopoly, but it’s privately owned by a murky collection of investors (rumored to include Fidel and Raúl Castro) and regulated by the Ministry of Communication.

The relationship between ETECSA and the Ministry is unclear – which organization makes investment decisions, sets prices, gets the profits or absorbs the losses, etc.?

Cynics predict the Cuban Internet will undergo a Soviet-style sell-off to foreign investors who will run it for their profit. But, if the Cuban government sincerely embraces its socialist goals, it has a chance to create a uniquely Cuban Internet with the goal of providing universal, affordable access to its citizens rather than making profit for private ISPs, ETECSA or the government. I’m skeptical, but hope I’m wrong.


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Update 3/18/2015

One of my long-term suggestions was that Cuba keep an eye on OneWeb, which hopes to provide global satellite connectivity. CEO Greg Wyler, speaking at the Satellite 2015 Conference yesterday, said they hope to be offering service by 2019 -- providing $250 ground stations that require no setup and establish a 50 mbps connection to the Internet and a WiFi, LTE, 3G and 2G local area network.

One of my short-term suggestions was that Cuba deploy geostationary satellite ground stations. They could do that today, but, if OneWeb is successful, their satellite links will be cheaper and superior to today's satellite offerings in every way.

Grag Wyler speaking:


A OneWeb ground station -- no setup required:


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Update 3/22/2015

It seems that Internet access at the University of Santiago de Cuba has been significantly improved. I am being a vague because the post I read has been translated into English and is hard to follow. It sounds like the university now has a fiber link and speed and data caps have improved significantly.

Can someone fill me in on the details of this upgrade and on the general state of connectivity at Cuban universities?

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Update 3/28/2015

Ricardo Alarcon, head of the Ministry of Higher Education announced a deal with ETECSA to substantially improve university Internet access. It sounds like every university will have both domestic and international links. The article is vague and inconsistent on technical details, but it also says students will have access to 40,000 digital magazines -- double the previous amount.

The article also refers to an upgrade to the university network, REDUNIV. The figure below was taken from a PowerPoint presentation last updated in 2005. I am saddened to see a frame relay backbone, but I am sure it has been upgraded since that time. Does anyone have information about the current network?


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Update 5/11/2015

I suggested that Cuba would be better off owning and controlling their telecommunication infrastructure rather than turning it over to foreign investors and they may be heading in that direction.

Lina Pedraza Rodríguez, Cuban Minister of Finance and Prices, said that Cuba is in "very advanced" negotiations with Huawei at the World Economic Forum on Latin America last week.

Pedraza also said the Cuban telecoms sector would be open to all foreign companies but also noted that the country wanted to avoid the "negative parts of the Internet."

Pedreza also feels that things are moving slowly with the US and called for the elimination of our trade embargo.


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Update 5/28/2015

One of my short-run suggestions was to legitimatize and support shared WiFi hotspots. Raymond J. Delgado Sutil has written a post that elaborates on that suggestion. He estimates that ETECSA's revenue from Internet access "navigation rooms" is around 907,000 CUC per year and the cost of installing WiFi access points at each navigation room and Youth Computer Club location would be about $200,000. Users would use their own computers and phones, eliminating the need for more computers in the navigation rooms. He says ETECSA should "just do it" rather than conducting a "study."

Unfortunately, Delgado does not mention backhaul speed at the navigation rooms or whether they connect to the undersea cable for international traffic. The backhaul speed is only 2 mb/s at the ballyhooed free hotspot of the artist Kcho. At that speed, performance would be very poor whether access was over WiFi or using one of the original hard-wired computers. Similarly, if international access were routed over satellite, response would be very slow.


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Update 7/16/2015

Raul Castro has reported that Cuba's economy is growing at a 4.7 percent annual rate (due to increased tourism?) and Cuba is "strictly meeting its debt obligations with foreign creditors and suppliers." A stronger economy will enable Cuba to pursue a relatively independent Internet strategy, without excessive reliance on foreign investment.


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Update 7/18/2015

Speaking at the 10th Congress of the Young Communist League of Cuba, Deputy Minister of Communications Jose Luis Perdomo said they were working on connectivity from homes, lower costs, access from educational, health, scientific, cultural and sport centers as well as industrial, business and service centers.

More concretely, he said they planned provide Internet service to 3G cellular users and deploy WiFi in Havana and provincial capitals. There is little 3G cellular today -- does that mean they plan to extend it? He also said they were deploying IPv6.

Deputy Minister of Communications Jose Luis Perdomo

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Update 11/19/2015

We suggested that Cuba shift to IPv6 and, as the following figure shows, they are routing IPv6 traffic over Tata and Newcomm (satellite) networks, but not Telefonica. I believe the "other" traffic is internal to Cuba -- peering with CENIAI Internet (AS10569).


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Update 1/17/2016

In considering future technology, infrastructure ownership and policy options, Cuba should look at the experience of others. Steve Song has just posted his annual Africa Telecoms Infrastructure review. The review might provide some insights for Cuban policy makers and they should be consulting with folks like Steve Song.


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Update 9/29/2016

Hybrid fiber-wireless
is another future technology Cuba should track. Google, cell phone companies and others are experimenting with a number of options for "last kilometer" technology. One in particular, PCell wireless, might turn out to be appropriate in Cuba if it proves to be practical.

Demonstrations of PCells in labs are impressive, allowing full speed wireless connections to computers or mobile devices that are inches apart. One would expect closely situated radios operating in the same frequency band to interfere with each other, but PCells capitalize upon interference, analyzing it to create very small zones of clear reception.

It remains to be seen how this technology works on the street as opposed to the lab and Webpass, a boutique high speed Internet service provider that was recently acquired by Google, and Nokia are both evaluating PCell technology. If it turns out to be effective, PCell might be particularly appropriate in Cuba with its penchant for do-it yourself improvisation.

PCell access points are small and distributed compared to conventional cell towers and, if they turn out to be effective, they could be installed by the people -- like a "street net." They remind me of the home-made dishes people used to pirate TV signals broadcast from the Havana Libre hotel back in the day and the installation of local area network wiring in California schools by students and staff during "Net Days."

PCell access points

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Update 10/5/2016

In this post, I have suggested several short-run, interim steps Cuba could take while evaluating and planning for leapfrogging to next-generation infrastructure when they are financially and politically ready to create a modern Internet. I wrote the post about a year and a half ago, and started by saying that it was what I hoped would happen, not what I expected to happen.

There have been some short-run improvements during the last 18 months, but not all that I had hoped for. I have no idea what, if any, plans have been made for leapfrogging to next-generation infrastructure -- the planning process is not open or transparent.

One thing is for sure -- there will be no leapfrogging on infrastructure without leapfrogging to next-generation policy on infrastructure ownership and regulation. Next generation policy should be geared toward meeting economic and social goals, not to maintaining telecommunication bureaucracy and revenue or on politics. As we see below, the world is trending in that direction.

Global trend toward 4th generation regulation, based on social and economic goals

And, fourth generation regulation is correlated with broadband connectivity:




Saturday, December 27, 2014

Can there be a uniquely Cuban Internet?

I don't criticize to knock the system down. On the contrary, I criticize to perfect the system.
Cuban blogger Carlos Alberto Pérez

The first instance of citizen journalism on the Internet was during the Soviet Coup attempt of 1991, where it was used to coordinate dissent and share news during protests. We tend to think of citizen journalism as anti-regime -- the Twitter Revolution, the Arab Spring.

But there are important counter examples, like that provided by blogger Carlos Alberto Pérez, who was recently profiled in a New York Times article on Cuban bloggers. Pérez is not a revolutionary seeking to overthrow the Cuban government -- he works for the Ministry of Communication and has government-provided access to the Internet at work and at home.

He criticizes the government in his blog La Chiringa de Cuba, but does not advocate revolution -- he "criticizes to perfect the system."

Carlos Alberto Pérez -- taken from a New York Times article and video on Cuban bloggers

I hope his point of view prevails -- rejecting both the far left and far right and finding Cuban solutions to Cuban problems.

How does this general principle apply to the Internet? Today, the Internet is under the control of an opaque monopoly, ETECSA. Neither I nor Cubans paying $4.50 per hour for slow DSL access or using their 2G cell phones like the current situation.

But, I would not like to see Cuba go to the other extreme -- ceding control over the Internet to a foreign investor in return for infrastructure. I have seen that approach in the US, and it is far from optimal and in developing nations like Cuba, it has produced poor results.

Hopefully, Cuba will find a uniquely Cuban way to a modern Internet. The goal should be eventually providing universal, affordable (free in some cases) access to the people of Cuba -- not profiting ETECSA, the Cuban government or foreign investors.

I would not bet on that rosy outcome, but, if it is to be achieved, it will take many years -- involving both short and long-term programs).

I do not know Carlos Alberto Pérez or what his job is in the Ministry of Communication, but I hope the Minister is more inclined to read his blog than to cut it off.

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Update 2/4/20114

A post in the Havana Times asking "Where are the US-Cuba talks headed" is accompanied by the illustration shown below. This gets at the reservation I have over the possibility (probability?) that the Cuban Internet will be turned over to foreign investors from the US or elsewhere. (It's not just the US, the French telecommunication company Orange has already made a deal with Cuba).





Monday, December 22, 2014

Who owns ETECSA and who runs the show?

The move toward normalization of relations between the US and Cuba has generated speculation that Internet access will improve markedly. I agree that that is a possibility, but it is far from assured. As a virtual Internet "greenfield," they have the possibility of building a uniquely Cuban Internet using current and future technologies.

But Internet policy and goals are a bigger question mark than technology and that brings us to Cuba's monopoly telecommunication service provider ETECSA (Empresa de Telecomunicaciones de Cuba S.A.).

The ITU describes ETECSA as "one of the last state telecommunication-sector monopolies" and Wikipedia says that 27% of ETECSA is owned by Rafin SA and the remainder is owned by the Ministry of Information and Communication (MIC).

Who owns ETECSA

But, is ETECSA state-owned? In 2011, Telecom Italia sold its 27% share of ETECSA to a company called Rafin, SA. The Central Bank of Cuba describes Rafin as a non-banking financial institution and lists the operations it is authorized to perform on their Web site. Note that this description has been deleted from the Web and was retrieved from the Internet Archive. (There is an unsubstantiated rumor that Rafin is owned by the Castro brothers)

If Rafin owns 27% of ETECSA, what about the other 73%. Wikipedia and the ITU report that that belongs to the the Cuban Government, but the Official Gazette of the Justice Minister cites the following equity shares: Telefónica Antillana SA, 51%, Universal Trade & Management Corporation SA (Utisa), 11%, Banco Financiero InternacionalSA, 6.16%, Negocios en Telecomunicaciones SA, 3.8% and Banco Internacional de Comercio SA, 0.9%. (This has also been deleted from the Web and was retrieved from the Internet Archive).

Are these the owners of ETECSA?

Who manages and determines ETECSA policy?

The organizations listed above are "anonymous societies," which I take to be something similar to "corporations" in the US. The shares of Telefónica Antillana are class A, while the others are class B.

I do not know what rights those classes grant and I don't understand the meaning of an SA in a communist nation, leaving me with questions like:
  • What happens to ETECSA profits?
  • Do the organizations that own it receive dividends?
  • Are they re-invested?
  • Who covers losses?
  • Who sets ETECSA policy?
  • Is there the equivalent of a board of directors?
  • Does the MCI have a voice?
  • Who makes operational decisions -- which services to offer, where to invest?
  • Who sets prices for services?
  • who put up the money for the purchase of Rafin's 27% share of ETECSA?
This post asks several questions and provides no answers, but the answers to those questions will determine the future of the Internet in Cuba. I hope they do not squander the opportunity to create a uniquely Cuban internet (as they did in 1997) -- for the people of Cuba and as an example for the rest of us.

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Update 4/13/2015

I remain confused about the ownership of ETECSA and their relationship to the Cuban Government. LinkedIn classifies ETECSA as "privately held" and 481 of more than 10,000 employees have accounts.


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Update 11/29/2015

For some inexplicable reason, Google Alerts just alerted me to a two-year-old post on ETECSA the Growing Monopoly. It is clearly out of date, but it discusses a Havana Consulting Group study estimating ETECSA revenue from prepaid wireless services as $562 million for 2013. That has doubtless gone up and now they are getting revenue for very expensive WiFi and Internet access rooms. A lot of this is prepaid from outside of Cuba using services like Ding.com.

This leaves me wondering what ETECSA's income statement and balance sheet look like, but I doubt that anyone outside a few ETECSA executives and Cuban government officials has those statements. (Where is Wikileaks when you need them)?

Cuba has the opportunity to create a unique Internet -- using the policy experience of other nations and tomorrow's technology, but if the goal is to maximize ETECSA profit or government revenue, the Cuban Internet will remain in the 1990s.

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Update 8/3/2018

I've long wondered about the ownership and control of ETECSA -- is it a private company or a state-owned enterprise? I just saw Bloomberg's description of the company in their database:
Empresa de Telecomunicaciones de Cuba S.A. provides telecommunications services in Cuba. It offers telephone, Internet, wireless, and public payphones services. The company was founded in 1994 and is based in Havana, Cuba.
It turns out their headquarters is in the same building complex -- the Miramar Trade Center -- as Huawei's Cuban office, but in a different building. ETECSA is in the Beijing building and Huawei is in the Barcelona building.

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